Military Retirement Pay Tax Subtraction
Full subtraction of military retirement pay from Minnesota state taxable income.
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Apply directly through the official Minnesota agency.
About this benefit
Eligibility
Honorably discharged military retirees receiving retirement pay (full-time military, National Guard, reserves). Also applies to Survivors Benefit Plan payments.
How to claim
File Form M1M with your Minnesota state tax return.
Verified against official source
Last checked 2026-05-05 against www.revenue.state.mn.us. Always confirm current rates and rules with the Minnesota state agency before applying.
Other Minnesota Tax Benefits
Property Tax Market Value Exclusion (70-99%)
Up to $150,000 exclusion of homestead market value from property taxes for veterans rated 70-99%.
Up to $150,000 exclusion
Property Tax Market Value Exclusion (100%)
Up to $300,000 exclusion of homestead market value from property taxes for 100% disabled veterans.
Up to $300,000 exclusion
Motor Vehicle Sales Tax Exemption (100% Disabled)
Exemption from 6.875% Motor Vehicle Sales Tax on vehicle purchases for 100% disabled veterans.
6.875% of vehicle purchase price
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